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Dilemma & Decision - Counting the costs

make a proposal of reallocation costs

Jongho Kim

on 23 October 2012

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Transcript of Dilemma & Decision - Counting the costs

Dilemma & Decision
- Counting the costs Current Situation We can save totally 1.2M !! ※ 15% Reduction of 8 m€  1.2 m€ Production operating costs Human Resource Costs Production operating Costs Sales and Marketing Costs 1) HR costs : 0.3M
2) Production operating costs : 0.45M
3) Sales and Marketing costs : 0.45M Conclusion - Costs - - Human Resource costs : 4m€
- Production operating costs : 3m€
- Sales & Marketing costs : 1m€
* Total : 8m€ 1. Freeze current policy of developing new products

2. Concentrate on consolidating current successful brands

3. Improve quality or reduce prices

4. Freeze recruitment but avoid layoffs

5. Reduce current budget by 15 percent Shareholders' Recommendations
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